Should we buy house with planning issue?
Q My boyfriend and I are in the process of purchasing a house in Dublin 8. The vendors have accepted our offer but our solicitor has informed us that the single-storey extension which was added to the property in 2001 did not have planning permission. In order to buy the house we need to sign a declaration accepting that there is no planning permission. As the extension has been there for more than seven years I believe that no planning enforcement can be applied, however the vendor has not applied for retention. Our solicitor has told us to walk away as purchasing it will place the risk and cost of obtaining retention on our shoulders. How much risk are we opening ourselves up to? Can we expect the vendor to apply for retention prior to purchase, or apply on their behalf?
A Why should you accept that there is no planning permission and why should you go through the cost and stress of applying for retention – unless you are getting such a good deal, or have negotiated that into a new price. Your solicitor is protecting you, as he or she should and looking to the future to when you try to sell and when that buyer declines because of a planning issue. It could be that the extension doesn’t need planning permission at all – some domestic extensions are exempt and the sellers should be able to get a certificate to that effect.Their solicitor should have advised them of that.
An important question is whether the extension complies with building regulations. We have come across a lot of horror stories involving extensions, from one that turned out to have been illegally built over the sewer access to an entire terrace and had to come down – after the new owner had bought – to others where there was seriously inadequate foundations, or plumbing that wasn’t connected to anything. The sellers should be able to supply you with confirmation that the extension was built as per building regulations.
People do go through with sales such as yours – usually when they have been reassured by their architect/surveyor that the extension is sound and retention or exemption should not be a problem. Though in a buyers’ market and in an area where there are plenty of houses, it’s difficult to see why you should put yourself at any risk.
Do we pay second home tax if we haven’t sold yet?
Q We are downsizing to an apartment and have just completed the sale on that apartment. The sale on our house is going through (for various reasons) very slowly. It means we will own two properties for a while at least. Do we have to pay the second home property tax?
A If you owned these two properties on March 31st (which it looks like you did) then you are liable for the charge. If the sale of your previous principal private residence goes through in the six months from March 31st then you can apply for a refund.
Paying the NPPR is straightforward on the NPPR.ie site but, for a refund, you must contact your local authority.
Your questions
Send your queries to Property questions, The Irish Times, The Irish Times Building, 24-28 Tara Street, Dublin 2 or e-mail propertyquestions@irishtimes.com. This column is a readers’ service and is not intended to replace professional advice.
